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Band of Angels Management CERTIFIED

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TheFunded.com algorithm or a Member has detected highly suspicious review activity by the following organization(s). In the majority of cases, the organization in question has pressured CEOs to write favorable remarks and contribute favorable ratings. Readers are advised to interpret the reviews with caution. This warning will expire on April 15, 2011.

Firm Rating:

Rated 2.4 / 5.0 by 9

TrackRecord

2.9

OperatingCompetence

2.9

PitchingEfficiency

2.2

FavorableDeal Terms

1.4

ExecutionAssistance

2.7

Firm Homepage:

FIRM OVERVIEW: Small Angels founded in 1994 based out of Menlo Park, USA (US West)

FIRM DESCRIPTION: The Band of Angels is Silicon Valley's oldest seed funding organization. We are a formal group of more than 120 former and current high tech executives who are interested in investing their time and money into new, cutting edge, startup companies. We've seeded over 200 companies in our history with 40+ profitable M&A exits and 9 Nasdaq IPOs.

Posted by
henrythedog
on 2010-10-26

PUBLIC:

I have passed the screening process with three Angel Groups. I have presented at the dinners and made it to due diligence with all of them. I am very familiar with the process. Although with each case I did not get the results I wanted, I view the experience as a victory. Nicola and Ian are very involved in the process. As they should be. You can always get them on the phone. They are able to give you valuable information. I found the organization of this group the best. You have to have a great amount of patience with any of these groups. Gaining and keeping momentum is key. The reality is if you cant sell the room or come in with a strong lead its difficult to close. I think having cocktails before the dinner is a great touch. You get to meet many of the investors before you present. No other angel group does this. They run a tight ship. Even though I could not get enough members to sustain momentum, I still talk to them for advice on a regular basis. They are still there to help. With the amount of companies they meet this has been incredibly helpful to me. I am still speaking with investors I met through the Band. If your candid and ask hard questions, you do get very quick responses. I found the whole experience pleasant. I walk away with no regrets. Having screened, pitched and gone to due diligence. Its the process that counts for me.

Posted by
4711
on 2010-07-22

PUBLIC:

Our experience has been excellent. Of all the pitches we did, they were the best managed group out there, by a large margin. Yes they screen 50 and typically invest in one. If you rate this group based on how easy it is to get funding.. yes this one would rate low. HOWEVER what most miss, is IF YOU GET FUNDED the support, the network of members, the clout they have, the experience and guidance, I don't think any other group can touch them. Also most seeking funding miss one thing. Your goal should not be to get funded, but to be successful. And I think having the funds is about 25% to be successful, while 75% is experience, advice, right choices, network etc, and for those 75%, there's nobody that comes close. Something else we noticed is if you make it to the dinner meeting, or get funding, doors open everywhere... And yes we ended up being one of those 50 that did get funded. My suggestion is, if you have something really truly amazing, not just another knockoff or spin, but something that really can change the world and be the next big thing, create a perfect pitch and give it a shot. You'll learn a lot and if you make it and get funded (or better have them involved), your chances for success will have leveraged.

Band uses a three round selection process, cutting the companies they look at from over 50 (I've also heard 70) each month down to the three at the final dinner. This process is time intensive and a serious commitment on the part of the management, and the problem is that it's unclear that your chances of getting investment are all that high even if you get to the final dinner. At our dinner, less than a quarter of the Band members were in attendance and most seemed to be there to hang out with each other, largely ignoring the presenters during the cocktail hour before and after. After our presentation, we received only minimal feedback and even this was only a numeric average of scores, only a few investors, and a similarly low number of other leads. This seems like a lot of work for little return.

Posted by
Anonymous
on 2007-08-05

PUBLIC:

We passed the screen; got to the dinner; got invited to the lunch. Problem was trying to corral everyone who signed up for lunch. By the time we finally got together, it was a month after the dinner and only 3 guys showed up. The key is keeping the herd moving as fast as possible toward due dilligence.

We are a small, 4-person bootstrapped start-up and met with Nicola just a few weeks ago. She made some important introductions for us (including banks and legal assistance) and also clarified the Band's approach - after understanding the picture (valuation etc.), we feel lot more comfortable about sharing company equity (rather than waiting for investors with convertible note option). Our proposal is still in eval and even if we are turned down, our appreciation of Nicola's assistance will remain.

Getting in with the Band of Angels can be very valuable. They've got access to many extremely successful entrepreneurs and business people if you have the time to engage them. Ian is extremely bright and very numbers-oriented. He's also very well connected. However, the investment process can be very tedious even for a small investment. It is essential to meet with certain members of the Band, committes, coaches, etc. Might only be worth it if you need to take down the high end of their range.